The pair plummeted during Tuesday's session as the US dollar strengthened across the board amid positive data in the United States. The 200 SMA on H1 chart served as dynamic resistance and helped to resume the bearish bias in GBP/USD. Next support lies around 1.2205, where a breakout should open the doors to test the 1.2124 level. MACD indicator is on negative territory, favoring more declines ahead.
H1 chart's resistance levels: 1.2260 / 1.2327
H1 chart's support levels: 1.2205 / 1.2124
Trading recommendations for today: Based on the H1 chart, sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the support level is at 1.2205, take profit is at 1.2124 and stop loss is at 1.2290.
